Editorial: Gambling may pave the road

Wednesday

Sep 23, 2009 at 12:01 AMSep 23, 2009 at 11:16 PM

There are many reasons to be nervous about the prospects for legal video gambling in Illinois. The Illinois Gaming Commission is complaining it doesn’t have the resources to set the rules and monitor the games, many communities have decided to opt out, and the “conservative” revenue estimates of $300 million seem to be shaky. Despite the concerns, the success — or lack thereof — of the new gambling venture should not affect Illinois’ capital construction plan. That’s a relief.

There are many reasons to be nervous about the prospects for legal video gambling in Illinois.

The Illinois Gaming Commission is complaining it doesn’t have the resources to set the rules and monitor the games, many communities have decided to opt out, and the “conservative” revenue estimates of $300 million seem to be shaky.

Despite the concerns, the success — or lack thereof — of the new gambling venture should not affect Illinois’ capital construction plan. That’s a relief.

Gov. Pat Quinn and the state Legislature legalized video gaming in July in an effort to help pay for billions in new construction projects.

Video gaming is only about a quarter of the revenue stream needed to pay for the bonds that will be issued to finance the roads, bridges and other work that falls under the term infrastructure.

Increased drivers’ fees and taxes on beauty products, candy and alcohol make up the bulk of the money needed to repay the bonds.

The state will sell general obligation bonds, which are not tied to a specific revenue source. There’s no reason for bondholders to worry because they will get paid no matter what. The concern for taxpayers would be if all the new revenue streams came up short.

If that were to happen, Illinoisans would have more to worry about than potholes.